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Week 3 Lecture

The document discusses the traditional method of hypothesis testing which includes formulating the null and alternative hypotheses, determining the type of test and critical values, computing the test statistic, stating the decision rule, making a decision on the null hypothesis, and writing a conclusion. It then provides 4 examples applying these steps.

Uploaded by

Keithy Ramin
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© © All Rights Reserved
Available Formats
Download as PDF, TXT or read online on Scribd
0% found this document useful (0 votes)
6 views

Week 3 Lecture

The document discusses the traditional method of hypothesis testing which includes formulating the null and alternative hypotheses, determining the type of test and critical values, computing the test statistic, stating the decision rule, making a decision on the null hypothesis, and writing a conclusion. It then provides 4 examples applying these steps.

Uploaded by

Keithy Ramin
Copyright
© © All Rights Reserved
Available Formats
Download as PDF, TXT or read online on Scribd
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Q4: WEEK 3 Traditional Method of Hypothesis 4.

State the Decision Rule


Testing Decision Rule
If the test statistic (z or t) falls within the rejection Left Tailed: Reject H0 if zcomp ≤ -zcrit . Otherwise,
region, the null hypothesis is rejected. If the test statistic do not reject H0.
falls within the non-rejection region, the null hypothesis
is not rejected. In such cases, we say that the hypothesis Right Tailed: Reject H0 if zcomp ≥ zcrit. Otherwise,
has been rejected at the α level of significance. If the do not reject H0.
population standard deviation σ is known, then z-test Two Tailed: Reject H0 if zcomp ≤ -zcrit or zcomp ≥ zcrit.
is used. Otherwise, do not reject H0.
Remember for test statistics: 5. Make the decision on null hypothesis
z-test population standard deviation Compare z/t and 𝒛𝒄𝒓𝒊𝒕 /𝒕𝒄𝒓𝒊𝒕
t-test sample standard deviation If z is positive, compare it ONLY to +zcrit. If z is
Steps in Traditional Method of Hypothesis Testing: negative, compare it to –zcrit.

1. Formulate the Null and Alternative Hypotheses (This is only applicable to two-tailed test
because there are two critical values.)
(in words and in symbol)
Reject or do not reject 𝑯𝟎 (NULL)
2. Determine the type of test, significance level
(α), and critical value/s (zcrit) 6. Write a conclusion based on the claim.

Type of test: two-tailed (≠), TEST OF HYPOTHESIS

one-tailed: 1. Left-tailed (<) 2. Right-tailed (>) Z-test (known Population Standard Deviation)

Critical values 1. A hospital record shows that the mean weight of


newly born babies is 7 pounds, with a population
standard deviation of 0.72 pounds. A researcher took a
sample of 50 newly born babies and found to have a
mean weight of 6.77 pounds. Determine if the average
weight of the newly born babies is really 7 pounds. Use
0.05 level of significance.

Step1: Formulate the Null and Alternative Hypotheses

Null Hypothesis:

In words:
______________________________________________

______________________________________________

In symbols:

______________________________________________

Alternative Hypothesis:
In words:
______________________________________________

______________________________________________
3. Compute the test statistic (z/t)
In symbols:

______________________________________________

Step2: Determine the type of test, significance level (α),


and critical value/s (zcrit)

type of test: _________, significance level: __________,

critical value: ____________


Step3: Compute the test statistic Alternative Hypothesis:

Given: In words:
______________________________________________
where:
______________________________________________
x̅ = sample mean
In symbols:
σ = population standard deviation
______________________________________________
n = sample size
Step2: Determine the type of test, significance level (α),
µ0 = hypothesized value of population mean
and critical value/s (zcrit)
Solution:
type of test: _________, significance level: __________,

critical value: ____________

Step3: Compute the test statistic

Given:

where:

x̅ = sample mean

σ = population standard deviation

n = sample size

µ0 = hypothesized value of population means

Solution:
Step4: State the Decision Rule

______________________________________________

Step5 : Make the decision on null hypothesis

______________________________________________
______________________________________________

Sketch:

Step6: Write a conclusion based on the claim.

______________________________________________
______________________________________________ Step4: State the Decision Rule
______________________________________________
______________________________________________
2. Duracell company claims that the average life of
Step5 : Make the decision on null hypothesis
batteries it manufactures for gaming gadgets is 150
hours. According to previous research, the population ______________________________________________
standard deviation on the life of the battery is 10 hours. ______________________________________________
A customer wishes to find out if the company’s claim is
true. He tested 100 batteries and found out that their Sketch:
mean life is 155 hours. Test the claim by using α = 0.01.

Step1: Formulate the Null and Alternative Hypotheses

Null Hypothesis: Step6: Write a conclusion based on the claim.


In words: ______________________________________________
______________________________________________ ______________________________________________
______________________________________________ ______________________________________________

In symbols:

______________________________________________
TEST OF HYPOTHESIS

T-test (Unknown Population Standard Deviation,known Step4: State the Decision Rule
Sample Standard Deviation)
______________________________________________
3. The dean believes that the average score of the
Step5 : Make the decision on null hypothesis
engineering graduates in the board exam exam is more
than 90 . A random sample of 12 graduates has been ______________________________________________
found to have an average score of 92.2 with a sample ______________________________________________
standard deviation of 7.9 in the board exam. Use the
0.01 level of significance to see if the claim of the dean Sketch:
is true.

Step1: Formulate the Null and Alternative Hypotheses

Null Hypothesis: Step6: Write a conclusion based on the claim.


In words: ______________________________________________
______________________________________________ ______________________________________________
______________________________________________ ______________________________________________

In symbols: 4. Harold believes that the Grade 7 students can type


less than 75 words/minute. A random sample of 12
______________________________________________ students has been found to have an average of 73.2
words/minute with a sample standard deviation of 7.9
Alternative Hypothesis:
words/minute in a typing test. Use α = 0.05 to test the
In words: claim of Harold.
______________________________________________

______________________________________________

In symbols:

______________________________________________
Step2: Determine the type of test, significance level (α),
and critical value/s (zcrit)

type of test: _________, significance level: __________,

critical value: ____________

Step3: Compute the test statistic

Given:

where:

x̅ = sample mean

s = sample standard deviation

n = sample size

µ0 = hypothesized value of population mean

Solution:

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